RPM International Inc. announced that its Mantrose-Haeuser subsidiary within the RPM Specialty Products Group has acquired Holton Food Products Company, a leading U.S. supplier of food stabilizer and dry egg white products for the bakery and prepared food markets. Based in LaGrange, near Chicago, Illinois, Holton has annual net sales of $7 million.
Terms of the transaction, which is expected to be accretive to earnings within one year, were not disclosed.
Holton supplies high-strength dry egg white products, used with its food stabilizers, for small- or large-scale, high-speed production of meringue toppings, fillings, cookies, cakes, pies, and other dessert and entrée items. Holton's products are primarily sold to large bakery and food companies to optimize appearance, texture, moisture control, production efficiency, freeze-thaw stability and shelf life.
Ross, John and David Holton, sons of the founder, will stay on to run the business.
"Holton, with its high degree of expertise in food stabilizers, is a good strategic fit with our subsidiary, Mantrose-Haeuser. The acquisition expands Mantrose's range of specialty food ingredients and provides a key entry into the bakery market," stated Frank C. Sullivan, RPM chairman and chief executive officer. "We expect to grow Holton internationally by leveraging its products across the Mantrose-Haeuser distribution network."